Missing “middle” housing. That’s what Illinois REALTORS® aims to address with its new Housing Stability and Affordability Initiative.

After five years of price growth coupled with slowed new-home production, Illinois lacks a range of affordable housing, like duplexes, condos and townhomes. Looking back even further, a recent study by StorageCafe found that Chicagoland’s middle housing grew by just 11.3% over the past 20 years — well below the national rate of 16.7%.

Previously, in 2024, Illinois REALTORS® CEO Jeff Baker served on Gov. JB Pritzker’s Ad-Hoc Missing Middle Housing Solutions Advisory Committee to develop initiatives and policy solutions to increase middle housing. Now, the association says “it’s ramping up its efforts” through the Housing Stability and Affordability Initiative.

Proposed bills include:

1. Eliminating zoning bans on accessory dwelling units – House Bill 1709, sponsored by Rep. Kam Buckner and Rep. Bob Rita, would prohibit cities and towns from banning accessory dwelling units (ADUs), a smaller housing option for increasing the state’s available supply.

2. Easing density restrictions in local zoning codes to create needed missing middle housing – House Bill 1814, also sponsored by Rita, would generate more housing supply by requiring municipalities to revise restrictions on large lots previously zoned for single-family homes to accommodate duplexes, townhouses and other missing middle-style homes.

3. Unifying impact fees – Senate Bill 1959, sponsored by Sen. Cristina Castro, would incentivize towns and cities to make their local impact fees ordinances comply with state law. Currently, according to Illinois REALTORS®, higher impact fees in individual municipalities can slow or even halt homebuilding as owners, developers and homebuilders must pay more.

4. Creating a homebuyer savings account program with tax benefits – Senate Bill 148, also sponsored by Sen. Castro, would create the Illinois Homebuyer Savings Account Act. This would allow for first- and second-chance homebuyers to receive a tax deduction for money they save toward a home purchase. Single tax filers could create designated savings accounts and receive up to $5,000 in yearly tax deductions; joint filers could receive up to $10,000. (The bill caps contributions and tax deductions over the lifetime of the account at $25,000 for single filers and $50,000 for joint filers.)

5. Prohibiting discriminatory crime-free housing ordinances statewide – House Bill 3110, sponsored by Rep. Jennifer Gong-Gershowitz, would ban crime-free housing ordinances to avoid destabilizing housing for vulnerable populations and comply with fair housing laws. According to Illinois REALTORS®, local crime-free housing ordinances reflect the discriminatory practices of the 1950s and ’60s, threatening to evict tenants if anyone in their household has contact with law enforcement. A press release from the association states that there is no evidence to support the idea that these ordinances decrease crime.

“A strong housing market that offers opportunities for all is essential,” Baker said in a press release. “We are dedicated to advocating for public policy that encourages greater investment in a diverse range of housing options that provides the affordability and stability Illinois needs.”